Once again, China is taking aim at the direct-selling industry. The move is expected to have a dramatic impact on manufacturers of personal care, dietary supplements and household products.

Last month, China's Ministry of Commerce (MOFCOM) spokesman Gao Feng, during a scheduled regular media briefing, said that “services pertaining to administrative approval and filing of direct selling have been suspended and a reform and rectification of the sector will be carried out to regulate these businesses.”

According to Gao, China MOFCOM will also improve related laws and regulations and establish a credit-based blacklist system of direct-selling companies and major practitioners.

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